This thesis addresses nepotism. Any person who is responsible for employment can do this abusively and therefore financially damage another person or entity. Even though this is a long-known and widespread phenomenon, it has never fully been analyzed in matters of criminal liability. Existing studies only focus on public employment and single elements of embezzlement. For a complete analysis however, two elements are of interest. The employment has to constitute malpractice and it has to cause financial damage. In relation to the first aspect, the standards set by Human Resource Management are of interest. The second aspect needs to address the latest judgment of the German Federal Constitutional Court which stated that the element is to be interpreted restrictively.